In June, house prices and sales activity in Scotland eased back after a few strong months, with the average price falling by 0.7% to to £223,923, data from Walker Fraser Steele has revealed.
Despite this minor blip, house prices were still up 1.3% on an annual basis, while the overall housing market in Scotland continued to recover faster than its English and Welsh counterparts.
Despite June’s quieter conditions, nine local authorities experienced rising prices.
Prices in three local authorities – South Lanarkshire, Angus and East Ayrshire – hit new market highs.
Of these, the recovery story in Angus looks the most compelling, with the authority having witnessed price increases for six straight months in a row.
In addition, 20 local authorities reported stronger prices than a year ago.
While the number is not as high as previous months, June represented the fifth month in a row when there was a positive net balance of local authorities reporting higher rather than lower prices year-on-year.
Scott Jack, regional development director at Walker Fraser Steele, said: “After three months of growth and a new record high, Scotland’s house prices paused for breath in June with a slight drop of 0.7% or nearly £1,700 on average.
“Despite this fall, Scotland’s house prices continue to out-pace those seen in England and Wales.
“On an annual basis, Scotland has shown positive movement in 11 of the last 12 months, again outstripping England and Wales which have yet to record a single month of annualised positive house price movement.
“Whilst the overall picture in June was down, nine local authorities still experienced rising prices in the month, and prices in three local authorities; South Lanarkshire, Angus and East Ayrshire recorded new highs.
“On the flipside, the remaining 23 local authorities saw a fall in prices in the month, which is a timely reminder that whilst interest rate cuts are now likely in the pipeline, the housing market continues to face headwinds from the current high mortgage rates and continuing cost-of-living pressures.
“Notable local authority price fallers included East Lothian, which fell by 4.7% in June. Coupled with Edinburgh’s rise of 0.9%, saw the capital city re-take the mantle of Scotland’s most expensive local authority.”
